The amounts being shelled out are quite staggering! For Ahmedabad, it was widely tipped to be an IPL city-and I get the buzz. However, Lucknow going for 7200 crore is bizarre. For a company to invest this much amount into a Tier 3 city in India, its going to be tough for them to generate revenues from the same. If the BCCI expand it to a 12 team league (in 3 years time), the amounts that would be bid against the likes of Pune, Vizag,Kochi could be even more staggering than this.
Don't get me wrong- the league would expand from here on. I believe the idea is to create a mega 16 team league with promotions and relegations, akin to the Premier Leagues one has in football. Slowly, but steadily they are getting there.
Dharamsala was in the fray alongside Cuttack, Indore and Guwahati. Apart from Indore, none of the other cities got a bid. Again, for such cities to come back, some basic economic aspects need to be satisfied:
1. Classy International Airport
2. Availability of 5 star hotels
3. Ability to expand business
4. Support from local government
You are spot on! Lot of talk as to why cities like Pune, Vizag were excluded from the bidding here. The simple reason being that Ahmedabad and Lucknow belong to BJP strongholds which would be going into regional elections next year. The rationale from the BJP on this occasion being that they wanted to tap into the Hindi speaking market. IMO, presence of an IPL franchise wouldn't suddenly evoke the Hindi speakers to start following the game. In India, any cricketing activity can give you instant revenues.